We stayed here one night in early July 2013. We were hoping to snag a campground or cancellation in the park, but we were out of luck so we headed to Silver Gate or Cooke City. Everything was booked for that night except one last room at the Grizzly Lodge.
The location is good, you can head up Beartooth Pass (in the summer) or west into the park, Lamar Valley, and beyond. You can walk to a couple small shops and restaurants. Nothing fancy in this area, but good burgers and beer.
The room was dated, the carpet was tired, the beds sloped a little. Nothing fancy or pretentious for sure. That said if you have been out camping in the weather for a few days, or are just plain beat tired, then you can appreciate a roof and a bed. I have stayed at many place like this in Montana and Idaho, and they are all basically the same, as long as it doesn't smell bad and the water tastes good and you have cold beer in your cooler it is a fine place to spend a night. Just don't expect city-slicker type accommodations.
There is a fire pit and Soda Butte Creek on the property, so the setting is nice. Also the staff are good, typical Montana...friendly and they let you dictate how much you want them involved in your story. Same with the owner's dog.
You probably won't find anything much nicer or different in the Cooke City/Silver Gate area, and most accommodations in the park are similar, so if they have room, give them a try, enjoy the fire pit and sound of the creek.